The next generation Xbox gaming console being called the 720 will not be released in 2012, according to sources from Microsoft France.

A rep from the company recently stated that "they're not convinced" that the device that everyone has been calling the Xbox 720 will see the light of day in 2012 and that it is likely to be revealed sometime next year with two different versions.

This information comes from the marketing director for Microsoft France, Cedrick Delmas, who recently stated in an interview with Lepoint that the proof of this notion comes from lack of price drop in the Xbox 360 thus far, noting that the current generation console's life span is far from over.

"We're in an industry that talks a lot, that likes telling stories," said Delmas. "I am not convinced that things will happen this year. The Xbox 360's cycle is not over at all. The proof is that we haven't price cut this year. What's certain is that there will be nothing new in 2012."

Microsoft could announce something at this year's E3. But Nintendo's upcoming Wii U console will not determine when the new Xbox will launch.

"We're not here to counter Nintendo and they're not here to fight the other manufacturers," he added. "Nintendo has put itself in a different cycle, it's going forward to its own rhythm, with success as we have seen with the Wii, and now it's their turn to present their innovation."

There is also the possibility that Microsoft will launch two versions of its new system including a "pared down machine" that is close to a set-top box for HD TVs complete with a built in Kinect and a second version that will be "more fully-featured" including a hard disk, backwards compatibility and an optical drive.

There is a good chance that Kinect will either be built-in or bundled with both versions of the next-gen Xbox.

He also expects Sony to be the last out of the three gaming giants to reveal its plans for the next-gen PlayStation device now being called the PS4.

Nintendo's Wii U is expected to launch sometime in the second half of this year just in time for the holiday shopping season. Microsoft is more likely to reveal its plans for the next-gen console at E3 and launch in 2013.